YOUNGSTOWN, Ohio (AP) - Phar-Mor Inc., which charged earlier this month that two former officers masterminded a $350 million fraud and embezzlement scheme, filed for bankruptcy court protection from its creditors.
Court clerks said Phar-Mor filed for protection under Chapter 11 of the U.S.
Bankruptcy Code late Monday afternoon.
The chain of 305 discount drug stores announced Aug. 4 it was taking a $350 million accounting charge to cover losses from an alleged swindle by its former president, Michael Monus, and former chief financial officer, Patrick Finn. Both were fired two weeks ago.